Copper coins live to be spent another day

Plans to scrap 1p and 2p are to be abandoned this week, according to reports.

Chancellor Philip Hammond announced in last year’s Spring Statement that the copper coins would be eliminated to cut costs for the government and businesses, and simplify purchases for consumers.

But the plans were criticised by charities, who said they would hit fundraising efforts, and led to claims that businesses would round up prices and push up shopping bills.

A government source was quoted as saying that ministers “will confirm the penny coin won’t be scrapped” in an announcement expected later this week.

“You’ll still be able to spend a penny under this government,” the source added.

A previous attempt to do away with copper currency filling up wallets and piggy banks was made in 2015 by then-chancellor George Osborne, but the move was blocked by prime minister David Cameron over fears of the “penny pinching” symbolism.

There are believed to be more than six billion 2p coins and more than 11 billion 1p coins in circulation in the UK, with a combined value of £250 million.